First of all we would like to thank Almighty Allah that by His Grace we were able to complete this report successfully. We would also like to express our gratitude to Ms Khadija Bari for her patience, support and efforts in guiding us towards the completion of this report. Her openness and welcoming attitude towards our queries is commendable. During our field research, we surveyed the market and took the help of many Control Shed Experts and open shed owners to gather information about the market of poultry industry. All of them were very supportive and welcomed our questions despite their busy routines. Last but not least, we would like to specially thank the senior manager of BIG BIRDS Mr. Basit Ahmed and Mr. Khasif Aslam for their contributions towards the completion of our report.

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agriculture and other industries. Infrastructure is also vital.4% and a low savings rate. . increasing poverty level and low quality of education. jumping to more than 9% in 2005 before easing to 7. Pakistan is regarded as to having the second largest economy in South Asia. In 2005. although there are alternative measures to GDP too. the World Bank named Pakistan the top reformer in its region and in the top 10 reformers globally. education and energy. the sharp rise in international oil and food prices. which mainly encompasses textiles. inflation is a rise in the general level of prices of goods and services in an economy over a period of time. In Pakistan GDP growth. The poverty rate in Pakistan is estimated to be between 23% and 28%. transport. In 2007/08. GDP growth was steady during the mid-2000s at a rate of 7% however it¶s slowed down during the Economic crisis of 2008 to 4.9% in 2006.The Economy of Pakistan
The economy of Pakistan is the 27th largest in absolute dollar terms. high inflation rate. if measured by purchasing power parity is estimated to be $475. It is often positively correlated with the standard of living. which makes it the 48th-largest economy in the world or 27th largest by purchasing power adjusted exchange rates. led to rapidly expanding macroeconomic imbalances in Pakistan. The economy has suffered in the past from decades of internal political disputes. food processing. remained in the 6-8% range in 2004-06 due to economic reforms in the year 2000 by the Musharraf government. a fast growing population.942. particularly in water management.0%. The development emphasis remains on poverty reduction and social protection. combined with internal political confusion. Today. Pakistan's GDP is US$167 billions. the higher the rate of inflation. In economics. Sharpe increase by gains in the industrial and service sectors. following the course in global petrol prices inflation in Pakistan reached as high as 25.
5
. In 2008.7%. continue to make it difficult to sustain a high growth rate.4 billion while its per capita income stands at $2. chemicals. The central bank is pursuing tighter monetary policy while trying to preserve growth. Pakistan's gross domestic product. The gross domestic product (GDP) is the market value of all final goods and services produced within a country in a given period of time. Inflation remains the biggest threat to the economy. particularly on enhancing social safety nets for the weakest sections of society. terrorism etc . A large inflation rate of 24. Pakistan has a semiindustrialized economy. Inflation and unemployment are negatively correlated simply stated the lower the unemployment in an economy. and other economic factors.

the insufficiency of income to meet basic needs.eezzi.1
1
http://www. rejection of opportunities and choices basic to human development are different facets of poverty. low quality of life.PAKISTAN STATISTICS        GDP (official exchange rate): $124 billion (2006 est.html
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. to control inflation.com/economics/76-the-economy-of-pakistan-2011. control corruption and make the country on the way of development by honesty.articles.5 billion (2006 est.real growth rate: 6. In growth and in Investment we lose investor because of political situations and collapse of external demand for its exports and decline in accessibility of external capital to finance or invest in growth process of the country.composition by sector: agriculture: 22% industry: 26% services: 52% (2006 est.) GDP (purchasing power parity): $437.)
The Situation in Pakistan is that of increasing economic and political instability and the destabilized government is losing control.6% (2006 est. Poverty. sustain high level of GDP.) GDP .) GDP .600 (2006 est. reduce the level of unemployment.per capita (PPP): $2.) GDP . The main objectives of government policies are should be to raise the standard of living and improve the socioeconomic conditions of the people and thus reduce the incidence of poverty.

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chemical transport in Rotterdam. size of working population. connected firms compete: 1.S. supply capabilities and local infrastructure. Porter argued that productivity is the main factor for international competitiveness and that the standard of living of a country¶s population can be improved as a direct result of increases in that factor.reflected by
8
. For example. Professor Michael Porter of Harvard Business School developed a framework to assess the competitiveness of regions. which mainly focused on slowly changing..
Porter¶s Diamond of competitive advantage model of nations consists of four main attributes that shape the national environment in which local. This observation initiated a four year study of ten major trading nations and 100 industries that covered 50% of total world exports in 1985. Examples are banking in London and New York. Geographic concentration is vital for firms to efficiently draw on each others resources and capabilities and to benefit from a shared culture and learning experience.FACTOR CONDITIONS The nation¶s relative position in vital industrial production factors such as skilled labour or infrastructure. U. ³inherited´ variables such as natural resources. industry saw its economic competitiveness eroded by Japanese and European competitors. and associated institutions in a particular field. climate.
Successful international industries tend to be located within particular cities and regions. higher innovation rates and faster new business developments. suppliers. Clusters may take different forms between firms producing different products across value-added chains or between firms producing similar products at different stages of the same chain. Japan¶s large pool of engineers -. states and nations. could only partially explain why nations gain competitive advantage in a given industry. Houston and Singapore. film in Mumbai and Hollywood and Internet/Software in Silicon Valley and Bangalore. Both the level of individual factors and the overall composition of the resource mix must be considered. etc. Industry clusters are geographical concentrations of interconnected businesses. Clusters lead to productivity increases.Porter Model:
In the mid-1980s.
In the early 1980s. Factors can be country specific or industry specific. are important determinants of national competiveness. Porter concluded that classical international trade theories.

the technological leadership in the U. Adoption of the automobile took off in the USA after the construction of a national system of highways and gas stations. RELATED AND SUPPORTING INDUSTRIES The presence or absence in the nation of internationally competitive supplier and related industries is a key factor. unexpected oil prices raise revolutions. Japan¶s sophisticated and knowledgeable buyers of cameras helped stimulate the Japanese camera industry to improve product quality and to launch new.
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.a much higher number of engineering graduates per capita than almost any other nation -.S. DEMAND CONDITIONS The nature of home demand for an industry¶s products and services requires considering both the quantity and quality of the demand.has been vital to Japan¶s success in many manufacturing industries. 2. etc. Government can raise the odds of gaining competitive advantage but lacks the power to create advantages on its own. 6.S. 3. For example. Until the mid-1980s for example. organised and managed. FIRM STRATEGY. wars. semiconductor industry provided the basis for U. AND RIVALRY The national conditions that determine how companies are created. Furthermore. Porter stated two additional variables that indirectly influence the diamond: 5. These six attributes promote or impede the creation of competitive advantages of firms. For example. GOVERNMENT Government choice of policies can influence each of the four determinants. Successful government policies work in those industries where underlying determinants of national advantage are present and reinforced by government actions. more advanced technologies. to reduce costs and to invest in new. 4. CHANCE EVENTS Disruptive developments outside the control of firms and governments that allow in new players who exploit opportunities arising from a reshaped industry structure. STRUCTURE. and nations. to improve quality. the predominance of engineers on the top-management teams of German and Japanese firms results in emphasising the improvement of the manufacturing processes and product design. clusters. as well as the nature and extent of domestic rivalry. innovative models. radical innovations. All conditions need to be present and favorable for an industry/company within a country to attain global supremacy. For example. success in personal computers and several other technically advanced electronic products. domestic rivalry creates pressure to launch new products.

provenmodels.2
2
http://www. Government officials can use the model for guidance on how to best build a supporting policy framework for a given industry. The model helps entrepreneurs decide where to start their next venture.com/577/diamond-model---competitive-advantage-of-nations/michael-e.Managers can use the diamond model during their internationalization efforts to determine if the home market can support and sustain a successful internationalization effort or to asses in which country to invest next.-porter/
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Phase 2: Institutional Development 1971-1975. Poultry farmers faced with financial problems and seeking remedial measures formed the Pakistan Poultry Association in 1979 on the advice of the Federal Poultry Board.g. The government of Pakistan also established the Directorate of Poultry Production at Karachi.
As poultry production became a significant enterprise in the agricultural economy of Pakistan. Broiler production increased form 7.
The government of Sindh followed a policy to attract investment in poultry farming by offering estate land under ten year leases. disease outbreaks and consumer preferences for Desi birds. At the same time the clustering of production units led to large disease outbreaks and the lack of marketing facilities due to ban on export of poultry products limited industry growth. deteriorating feed quality.2 million birds to 17. Research services were offered through the Poultry Research Institute with the assistance of UNDP/FAO funds. disease problems. high relative prices of poultry feed. Poultry Producers struggled with the adverse effects of government programmes e. These forces included potential profits in the industry.
During this period the early poultry ventures. the ban on export of poultry products and the consequences of some major planning flaws such the establishment of poultry estates clustered together without adequate sanitation and health control.Overview Of Poultry Industry
Phase 1: The Introductory Period 1965-1970. The Federal Poultry Board was established to coordinate government and industry activities. 11
. The Directorate of Poultry Development was established in Punjab similar to that in Karachi. A dramatic increase in poultry production resulted due to diverted investments form the nationalization of industries in other sectors.4 million birds during the same period. particularly in the Punjab. The early development of the industry was also characterized by emerging problems including rising feed costs. the government strengthened institutions serving the new industry. and limited supply of feed ingredients. Commercial egg production increased from 624 million eggs in 1976 to 1223 million eggs in 1980. the nationalization of other industries contributing the entry of capital into poultry industry. The increase volume of production was forced through limited marketing channels. Serious financial setbacks to poultry farming in Pakistan culminated from discontinuation of poultry exports. At the same time. which provided extension services to the growing numbers of poultry farmers. in the layer and broiler business. A number of catalytic forces shaped the early development of the poultry industry. availability of technologies and supportive government policies resulting from the perception of a protein deficiency in Pakistani diet.
Phase 3: The Production Boom 1976-1980. This phase is characterized by both the greatest success of the poultry industry and its greatest failure. resulted in the poultry production boom. involving risks were supported by Government policies that exempted poultry production form national tax levies and permitted producers to import genetically improved breeding stocks and equipment such as incubators.

after great loss measures were adopted that resulted in controlling the disease. less polluted area of the country. in the later part of 1980¶s starting form 1985 industry seemed to be readjusted with much rise in poultry number particularly in broilers. Conferences at the diagnosis of this disease were conducted in which scientists discussed their point of views.
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. Baluchistan and NWFP. The farmers also built houses with controlled environments for breeders. in 1990 the farmers suffered a great loss due to Hydro pericardium syndrome specially the farmers of Broiler and Broiler Breeder Birds. The large Karachi poultry estates began to close in 1984 and a number of poultry farms closed in other areas of Sindh.
Disease problems posed a serious threat to the sound development and consolidation of the industry.Phase 4: Depression and Adjustment 1981-1990. this also resulted in establishment of new medicine companies and the importation of vaccines form abroad started.
In 1995 a new disease Avian Influenza appeared in Murree and Abbotabad and mortality in parent flock rose up to 80% due to this disease and set a challenge to the scientists at national level. Breeding farms in Karachi and Punjab thus relocated to Abbotabad. to the base of the Murree Hills and to the Valley of Quetta. At this time it is supposed that big firms like Be Be Jan can be help full to reduce the instability of the market but it may be before time. lower productivity and numerous environmental and climatic difficulties. a great planning is required in this regard. In 1996 parent flock increased in number due to absence of planning that resulted in depression in the market and the price of chicks decreased several times its cost of production. However. Faced with disease problems. 1999 again a syndrome like influenza broke that cause great loss in some areas while some areas were safe. layer and parent flock that resulted in great mortality.
1991 to Now:
In this period was a disaster due to diseases. In 1991-92 an other disease Gumboro attacked the chicks of broiler. With the passage of time efforts to reduce the incidence of these diseases and prophylaxes regarding vaccination and bio-security were done. broilers and commercial layers. Veterinary Research Institute and Agriculture University Faisalabad also done efforts to reduce these diseases. This depression in Poultry market continued in 1997 as result of ban on serving of lunch in marriage parties that reduced the demand of poultry products in the market up to 40%. Slowly in 1998 it started improving and by increase in price of chick the companies got a great profit. At national level institutes like Poultry Research Institute. some of more successful farmers decided to produce under more modernized conditions and to establish their poultry farms in cooler. Now still there are many threats to the poultry industry the manor of which is the marketing problems of chicks to finished products. Production showed a decreased growth or even depression during early 1980 particularly of increases in the Punjab.

Being controlled environment the incidence of diseases could be minimized and cut down the cost of vaccine and medication of Rs. Mortality has been decreased to 2 to 3 percent in controlled environment farm as compared to 10 percent in conventional farm. In controlled environment farm only one person at daytime and one at night time are sufficient to look after a flock of 35. 2. In controlled environment farm a broiler flock is ready for market in 37 days as compared to 45 days in conventional farm. Whereas conventional farm nearly 6-8 persons are required to manage such a flock. 7. 6. 5. The temperature can be brought down by 10°C to 15°C in controlled environment farm as compared to the conventional farm and makes environment more comfortable for birds. 3.8 in controlled environment farm (2. 8. 2-3 per bird as compared to conventional farming.8 kg feed to gain 1.2 (3 to 3.5 kg weight).Benefits of Poultry Farming in Controlled Environment
Poultry Farming in Controlled Environment has brought a great change in poultry industry of Pakistan and is rapidly becoming popular among broiler producers due to its following significant advantages: 1. The temperature remains consistent round the clock providing very conducive environment to the broilers. Feed Conversion Ratio (FCR) in conventional farm is more 2 to 2.5 kg weight)
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.3 kg feed to gain 1. whereas FCR is improved to 1.000 birds. In conventional farming the broiler production in summer is almost stopped and only four flocks could be taken whereas in controlled environment farming 6-7 flocks could be raised 4.

need based research and development and farmers training & education. Specialized resources are often specific for an industry and important for its competitiveness. disease control and genetic improvement in rural poultry.5 million people. eggs and value added products to the local and international markets at competitive prices and aimed at facilitating and support private sector-led development for sustainable poultry production. 2074-7764 (ONLINE) Accessible at: (www. Human resources According to Pakistan Veterinary Journal ISSN: 0253-8318 (PRINT). palatable
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http://en. capital resources and infrastructure.pk) it has been reported that Poultry sector is one of the most vibrant segments of agriculture sector in Pakistan. It generates direct or indirect employment for about 1. 200 billion.com. It envisages poultry sectors growth of 15-20 percent per annum. The current investment in poultry industry is about Rs. including domestic and commercial poultry birds. Improving bio-security.pvj. The strategy revolves around Improving regulatory framework. Poultry meat contributes about 19% of the total meat production in the country.
Factor conditions of poultry industry in Pakistan.5 million people.Poultry Development Policy visions sustainable supply of wholesome poultry meat.wikipedia. Specific resources can be created to compensate for factor disadvantages.org/wiki/Diamond_model
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. The diamond model is an economical model developed by Michael Porter in his book The Competitive Advantage of Nations.wikipedia. where he published his theory of why particular industries become competitive in particular locations. physical resources. The production of total poultry birds. processing and value addition. 4 Factor conditions can be further divided into further categories. hi-tech poultry production under environmentally ± controlled housing. Poultry meat is a good source of cheap. was 518 million. This Economic Survey 2009-10 sector generates employment (direct/indirect) and income for about 1.8 percent of the total meat production in the country .3 Factor conditions are human resources.Factor Conditions
Poultry sector is one of the organized and vibrant segments of agriculture industry of Pakistan. This sector has shown an annual growth of 8-10%. and total meat production remained 601 thousand tons during 2007-08 (Govt. each category can be then analyzed individually according to the secondary data available. knowledge resources. Poultry meat contributes 23.org/wiki/Diamond_model http://en. 2008). Pakistan.

5This article talks about the human resources employed in poultry sector in detail and moreover it also explains the amount of direct investment that is flowing in this sector which is about Rs. 4.
5
(www.pvj. 2007).8% in the agricultural GDP (Sabir. and eggs in 24 weeks.and nutritious protein and contributes around 1.com. A poultry enterprise produces meat in eight weeks. 200 billion. Moreover the stats provided in the article are very much up to date and the source of the article is also authentic.pk)
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.1% in the national Gross Domestic Product (GDP).

3 Layers 18.7 334.col1
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. 285 hatcheries. These companies have a 75% share of market. Haider Grand Parent Project (Hybro-PN) in Gujrawala and Quality Poultry Breeders (Arbor Acres) in Rawalpindi.1 18.00 million parent stock chicks. the bulk of which are owned by six breeder companies. GP companies are.4
6
http://findarticles.com/p/articles/mi_hb092/is_8_33/ai_n28959903/pg_2/?tag=content.
According to economic survey in 2000-2001 it was estimated that the physical resources which are currently deployed in the sector are following: *(In million tons)6 Production 2000-2001 Estimated 2001-2002 Day old chick 319. Al-Noor Group (Star Bro/Shaver) in Faisalabad.Human Recourse Requirements
Physical resources
Current structure The investment in the poultry sector is about one billion US$. Grand Parent Poultry (Pvt) Ltd (Hubbard) in Lahore. The remaining 25% share goes to small farmers. Layer breeder / Broiler breeder farms: In all there are 430 layer breeder / broiler breeder farms in Pakistan. Their total annual production is 5. Hubbard has 50% market share and the Al-Noor Group is the only onethat has layer grandparents. It includes over 20. Grandparent (GP) projects: The country has four grandparent poultry companies operating as franchisees of US and European suppliers. 141 feed mills and related infrastructure. Annual production is 0.3 million layer parents.000 farms.

2 4348.1
264.0 256.2 4423.3 6.Broilers Breeding Stock Eggs Poultry Meat
253.
20
.4 6.8
The above figures basically show the physical resources moreover it tell us about the production which has been received by the poultry sector. and through advanced technology in this sector the physical resource are increasing day by day and are leading to healthy rise in the production.0 266. Although the data given in this article might be outdated but it gives us a clear picture as how many resources are being used in this sector.

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. it basically provides us the idea that how much poultry contributes to the Livestock sector of Pakistan.Productions of broiler in Pakistan
The following table basically shows the total meat production compared to the other livestock products.

while large hatcheries consist of more than 20 incubators. These birds produce eggs for normal consumption.
Layer Farming
Layer birds are raised for the purpose of eggs production. One layer bird in a year produces 250-280 table eggs under an average management condition.5 million to Rs. Establishing a hatchery requires huge investment as compared to other subsectors of the poultry.1. Small hatcheries can be established with 1-2 incubators. For first 16 weeks the farmer needs to spend money on feed and maintenance and receives no return on his investment during this period. their efficiency is low. Although there are relatively cheap locally manufactured incubators available in the market.
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. However. etc. Breeder farms require relatively high level of investment for the import of parent flock/ grandparent of best breed and farmers need to have better technical skills and know.0 million. it is labor intensive and requires investment for working capital mainly for the purchase of feed. The investment required for establishing a poultry farm is quite low as compared to other sub-sectors of poultry.3. he recovers his total running expenses incurred on the flock. Poultry farming can further be classified into following three categories
Breeder farming
The eggs used in hatcheries to produce broiler and layer chicks come from the parent flock /grandparent of selected breeds and farming of such breeds for the production of eggs is called breeder farming. Hatchery is a place where eggs are placed in incubators for 21 days and day old chicks sold to the farming sector. vaccination. The farmer starts making profit after 6 months of successfully running the layer flock. chick. medium hatcheries comprise of 3-20 incubators.Division of Poultry
Hatchery Sector
Hatchery sector is the backbone of poultry farming as it provides day old chicks to the poultry farms. It needs the purchase of quality imported incubators ranging between Rs. For next 10-12 weeks however.
Poultry Farming Sector
Rearing of poultry birds / chicks for meat and eggs is classified as poultry farming.how as compared to other sub-sectors of poultry farming.

e. Buff Rock
2. A typical table meat bird weighs nearly 2. The usual process is to buy day old chicks. the profit / loss in broiler farming can broadly be assessed by subtracting the cost incurred on purchase of day old chick and feed from the market price of broiler chick. feed them for 6-8 weeks before their marketing / selling. Light Sussex
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. It requires low level of investment as well as low technical know ± how as compared to other subsectors of poultry farming.Broiler Farming
The most common form of poultry farming is broiler farming i. Leghorn
3.2. rearing of day old chicks for meat. Therefore.5 kg and consumes feed about 4 kg.
Important Breeds
Some of the most important breeds are: 1.

4. Dhoki
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. Foyoumi
6. Rhodes Island red
5.

PROVINCE WISE POULTRY STATISTICS
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leghorn. Now the large scale investment and proper incentives have resulted in the establishment of infrastructure comprising of 252 hatcheries with capacity to produce 346 million day. A laying bird produces an average of 250 eggs per year and the average live weight of the broiler is recommended as 1200
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http://www. Big Bird Group of Companies from Lahore. The hatchery operations use modern incubators such as Chick Master to produce broiler as well as layer chicks using sophisticated electronic systems and egg grading machines. light Sussex. A few layer breeder farms have switched from litter housing to cage system because of its obvious advantages. 17 million layers (5%) and 5 million breeding (2%) stock annually. These figures speak of the potential that has been established in the country to increase production of eggs and poultry meat thereby reducing further the gap of availability of animal protein foods. Rhodes Island red are also hatched successfully in the country at desired traits. Olympia Poultry Farms in Lahore and Sadiq Brothers in Rawalpindi. In Pakistan Poultry farming consists of meat production which is in the form of chicken meat. Proper techniques are employed in bird housing such as evaporative cooling and humidity control mechanisms.com/issue2000/issue32/i&e3.7 Knowledge resources With improved technology and greater infrastructure the production in poultry sector is on the rise. Better R&D has helped improve the chicken breed which helps in better quality of meat production and egg production.old chicks per annum. The present total poultry population is estimated to be 319 million.pakistaneconomist. Because it is being an easy and relatively cheap method of raising dietary standard of the people. The quality of these chicks is of international standards. Six major players in broiler / layer breeding operations are.htm
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. Hi-Tech Poultry Breeders in Lahore. In the same fashion eggs are obtained through commercial hatcheries and conventional farms. K&N Group of Poultries in Karachi. Some of the important breeds of the world such as buff rock. Chicken meat is obtained either by chicken produced through open farming and through control shed. Modern poultry farming has a special importance for countries such as Pakistan.Capital Resources and Infrastructure
Applied technology
The poultry sector deploys modern methods and technology in the areas of poultry breeding and mass production. out of which 137 million is rural (44%). 141 feed mills with the capacity to produce 2540 thousand tons of compounds feed per annum and 13154 poultry farms with the capacity to produce 98 million broilers. 160 million broilers (50%). Islamabad Chicks in Rawalpindi.

Then it declined slightly reaching 124g / bird/ day at 33 weeks of age.8 The above mentioned paragraph clearly explains that how different kind of breed helps in increasing the production.2 kg). It reached its peak (135g/bird/ day) at 25 weeks age.
8
http://www. The product is concentrated around the large urban centers in the provinces of Sindh. These important poultry breeds of fowls are cross bred with each other to produce. There are also some local breeds. and Faisalabad. The consumption of poultry feed increased with their ages. Peshawar. Punjab and NWFP.5 thousand million eggs and 340 thousand tonnes poultry meat. which are highly productive and are more adaptive to the local conditions. at 8 weeks of age. The higher cost of poultry feed is mainly due to the increase in the price of the various ingredients particularly fishmeal in their poultry feed. The capacity of the layers farm varies from 2000 to 20000 birds and that of the broilers farms from 103 to 403 birds per annum. In these days prices of poultry are very high due to the cost of ingredients needed for the manufacturer of the feed meal.grams ( or 1. Lahore.com/issue2000/issue32/i&e3.htm
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. Pakistan produces 6. The majority of such farmers are generally in and around the cities like Karachi.pakistaneconomist.

Equipment and Machinery Requirement
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.

32
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there are a number of kinds. Starting from the hatcheries up to the retailers or butchers.Firm structure. At some places. The key players in the industry are as follows
      
Feed mills Poultry farms Vaccine and medicine production houses Hatcheries Wholesaler Retailer Middlemen (Distributors)
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. medicines and even hatcheries are their own. the firms are able to achieve economies of scale as the feed is their own. The whole supply chain comprises of a number of firms and businesses. rivalry and strategy
Talking about firms or players in the poultry industry of Pakistan. This is done merely for the purpose for achieving operational efficiency. The concept of vertical and horizontal integration would be discussed later in the report. there exist different kinds of businesses. Through this. the whole supply chain comes under a single owner.

corns and different kinds of other small crops. The feed mill consists of a plant that produces the feed by mixing a lot of things in a particular proportion. Starting from 30000 birds.
Poultry Farms
Poultry farms are the actual core business area. Talking about the kind of labor required. up to 90000 birds depending upon whether the shed is double. Adding to this. the open house farms require semi-skilled workers as there is nothing very difficult to handle as in a control shed. In fact. Feed mills require semi-skilled to highly-skilled workers to control and work on the plant for the production of feed.
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. These workers are not on the basis of daily wages rather they are permanent employees and sometimes the owner of the feed mill provides them with residence and other facilities nearby the mill where they work. Having said this. he or she will have to get his shoes dipped in caustic soda so that the bacteria die before he goes into the shed. It is in the poultry farm that chicks are added and within 7 months. they have capacities of hardly 5 to 6 thousand birds per farm which is a very small number. It is the feed mill that produces the particular feed for the flock that enables it to grow to their fullest within just 7 weeks. Good feed mills in Pakistan are few. On the other hand. Some of them are owned by the few big packed food companies like the K&Ns and Menu. In a control shed. The ingredients include a number of vegetable oils. Caustic soda is kept outside the farm so that if someone has to enter. ready for consumption. Poultry farms work in two ways as said earlier too. more than 50% of our farms operating currently are working on an open house basis. transportation vehicles¶ tires are also soaked in a chemical before it enters the farm. There are various capacities for control sheds. the open house farming is also quite prevalent. they are kept with care until they become fully grown broiler flock.Feed mills
Feed mills can be seen as the backbone of this industry for a number of reasons. y y The control shed Open house
Control shed is a computerized system for maintaining a favorable temperature and to avoid the spread of bacteria. single or triple. as opposed to this. It is a very efficient system to protect the flock against the spread of diseases and keeping them at a cool temperature.

some of the local firm own their own vaccine and medicine houses whereas many other multi-national pharmaceutical companies also produce products specifically tailored for the broiler flocks. to have medicine production factories is a necessity. Just like the feed mills. Incubators and brooders have a capacity of few thousands eggs as well. Eggs are artificially made to hatch and chicks are kept in intensive care units. The eggs are artificially provided the same heat and movements as a mother hen would when she sits on eggs.
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. The following chart gives the details of the personnel required for a single control shed driver farm. Pfizer is an example.
Hatcheries
Hatcheries are small farm like structures where there are incubators and brooders. Hatcheries are the core suppliers of chicks to the poultry farms which then feed them and make them ready for consumption within a period of 7 weeks.
Vaccine and medicine production houses
Since there are a number of diseases that spread really fast among the flocks.the labor required is highly skilled and they know how to operate the shed and how to take precautionary measures in order to protect the flock.

Middlemen
The middlemen are usually the wholesalers themselves. Wholesalers buy the birds from the farms on daily basis and then supply them to the retailers at a particular percentage kept as their commission. What they do is.
Retailers
Retailers are usually the butchers from whom the consumers buy the broiler meat for consumption. the middleman has to also keep a specific percentage as his commission. They are called µARTIs´ in local language. Retailers charge a price to the end users or consumers after keeping a particular percentage as their commission. They act like a warehouse or a core supplier to the retailers from which the end user or the consumer buys the meat at the end. they keep their own transportation vehicles through which they pick up birds from the farms on daily basis and then supply them to the retailers.
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. In the case where wholesalers are not ARTIs.Wholesalers
Wholesalers usually are situated in a wholesale market in every city. the price of the meat at the retailers rise because in addition to the wholesalers. The labor required at this stage is semi-skilled as the slaughtering of the birds is not a very rigorous process.

This allows them to earn more profits and diversify their product lines too.The Supply Chain
Farm Arti Wholesaler Retailer Consumer (End user)
Integration
Few big players in the industry which are operating currently have owned the whole supply chain so that they achieve economies of scale and capitalize on little cost of production. A good example of this is the K&Ns. hatcheries and even their own wholesalers and retailers.
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. farms. K&Ns owns feed mills.

The trend in investment tells us that initially this sector attracted investments but then with time.Investment in the sector
Investment (millions)
40000 35000 30000 25000 20000 15000 10000 5000 0 Investment (millions)
The graph shows the investment pattern that has been seen in the poultry industry for over past 30 years or so. as the concept of control sheds emerged and a few large firms entered the business. the investment curve near 2000 turns towards horizontal axis to show the trend is decreasing
38
.

Talking about competition in the industry. if had put a flock of 30000. The demand and supply are the basic determinants. the whole competition lies on the better forecasting of when your flocks should be available in the market so that the owner is able to capitalize on the high prices that might be prevalent during the time his flock comes into market. The basic Mechanism for pricing that is being followed in the industry starts with the retailers telling the wholesalers that they would need this much amount of birds for tomorrow. the price rises. the price falls for the next day and if the supply is lesser compared to the demand.Pricing and Competition
The pricing in this industry is typical to that of any other pricing mechanism. The wholesalers then check up with the farms to see if there are enough supplies for the next day. would want to sell it as soon as it gets ready. There are no as such policies by the government to control the prices of broiler in Pakistan but during the time when prices get astronomical. If the supply is greater. there is no as such price wars between the firms because any farm owner. is much lesser than the weight that they gain when they are young. They tell the figure based on the sales of the previous day and forecasts that they do based on the orders that are placed by the consumers. Examples of such seasons are the month of Ramadan and the Eid Occasions. The reason is that the additional weight gained per unit of feed consumed when they grow up. the corresponding DCO takes notice of it and calls up meeting of the union of the retailers and wholesalers to control the prices. for example in his farm. .
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. Having said this.

RELATED AND SUPPORTING INDUSTRY OF POULTRY FARMING
Poultry farming has become one of the most profitable agricultural businesses in Pakistan.engormix. maize. The second mill was established in 1967 by the name of Ani Feeds at Gujranwala and till present there are 141 feed mills which can produce up to 2540 thousand tons of compound feed per annum.com/issue2000/issue32/i&e3. sea food.htm
http://www. Big Bird Group and HiTech feeds are the biggest producers of poultry feeds in Pakistan today. About 70% of feed supply is catered by commercial mills.com/MA-poultry-industry/nutrition/articles/poultry-feed-industry-pakistan-t1307/141-p0. sorghum barley. Earlier 8 week old Broiler with a weight between 1.pakistaneconomist. There are mainly three industries associated which are feeding.
POULTRY FEED INDUSTRY
First feed mill was setup in 1962 at Rahim Yar Khan by a multinational Lever Brothers. vaccination and by products of chickens. At present farmers use commercial and home mixture feeds which are made from wheat. In present the Feed conversion Ratio (FCR) has dropped below 2kg of feed per 1kg of live weight. Recently the prices of feed have increased which have resulted in increase in the cost of production by 60%. local farmers buy feed directly from
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http://en.50 kilograms with Feed Conversion Ratio (FCR) of 3kg of feed to 1 kg of live weight was considered to be healthy.htm
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. Automatic batch controller and computerized manufacturing program has minimized human involvement and impurity that has resulted in export quality feeds9. pulses and vitamins. Previously feed producers didn¶t give attention to the quantity of ingredient in a meal which resulted in malnutrition birds. Currently feed manufacturers are continuously improving the quality of the feed so that the production of poultry products could increase. Per bird consumption of feed vary from 124-135 grams per day. There has been constant upgrading in production of feed by the mill owners and production is now more mechanized and advanced. carbohydrates and fat content that is very important for the growth of birds. Increasing prices of mutton and meat has resulted in phenomenal investment in this sector. Feed mills are producing balanced diets (For example using medium-protein diet) that not only have increased the weight of birds but also reduce the cost of feeds. As a result role of related and supporting industry of poultry has become integral part poultry farming.25-1. rice. Pakistan is self sufficient in providing poultry feed. New feeds are modified and contain proteins. The feed plays an important part in finalizing the price of eggs and chicken as they are significant part of the costs.

animal tankage. Source: Meat scraps (lysine). sunflower seed meal. wheat middlings. cellulose. sorghum grains (milo) barley. The polysaccharides of major importance are starch. feather meal (hydrolyzed). Cellulose. On major reason for self sufficiency is that ingredients used for feed are mostly by products of agricultural products which are available in the country in abundance. pentosans and several other complex carbohydrates. rye. therefore. liver and glandular meal. Feeds for poultry Poultry feeding is one of the important aspect of poultry science. On a dry weight basis the carcass of an 8 weeks old broiler is more than 65% protein and the egg contents are about 50% protein. chickens possess enzymes that can hydrolyze only starch. Poultry feeds are of three types 1. lysine). Fats: Fats make up over 40% of the dry egg and about 17% of the dry weight of a broiler. Carbohydrates: The main function of carbohydrates in the diet is to provide energy to the animal. Source: Corn.com/digital-publication/
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. milk products. heat. is completely indigestible. Typical broiler rations will contain from 22 to 24% protein and in layers ration the amount varies between 16-17%. Laying poultry feed: A ration to be fed to laying birds after 20 weeks onwards or after laying commences.25 times more energy than carbohydrate and protein) their inclusion as true fats or oils in the ration is seldom practised because of high cost and the risk of rancidity which develops on prolong exposure to air. various grain byproducts. wheat. 3. blood meal. peanut meal. sunlight. Although fats supply concentrated form of energy (2. Starting poultry feed: An all mash ration to be fed to chicks upto the age of 8 weeks. fish meal (lysine. sesame meal.them rather than importing. Following are the nutrient constituents of poultry feeds Proteins: In poultry. Although cellulose and starch are composed of glucose units. the products produced consists mainly of protein. cottonseed meal. etc. poultry by-product meal (tryptophan. Cereal grains and their by-products are excellent source of starch and thus constitutes a bulk of poultry ration. oats. Most
http://www. soybean meal. methionine). 2.thepoultrysite. Growing poultry feed: A ration to be fed to growing chickens after 8 to 20 weeks or until laying commences.

Limestone Bone meal Oyster shell Sodium chloride Dicalcium phosphate Manganese sulphate Potassium iodide Superphosphate.feed ingredients (maize. manganese oxide (manganese). These may be other recognised nutrients or they may be unidentified factors. Source: Animal tallow (beef). barley.) contain 2-5% fat and that is enough for the inclusion of one essential fatty acid (Linoleic acid). steamed bone meal (phosphorus. phosphorus. magnesium. Source: Yeasts. Usually the grains and vegetable protein ingredients are relatively poor in mineral contents when compared with those of animal protein feed stuffs. chlorine. ground oyster shells (calcium). fish solubles. chlorine. other vegetable oils. potassium. salt (sodium. wheat. phosphorus). manganese. alfalfa meal. zinc and selenium. Vitamins: Vitamins most commonly function as coenzymes and regulators of metabolism. defluorinated rock phosphate (phosphorus. is that the natural vitamins are likely to have other factors associated with them. Apart from natural sources. molybdenum. ground limestone (calcium). corn-oil. iodine). Diets continuously deficient in any one of the required vitamins will seriously tell initially upon the egg production and then the life of the chickens. vi. v. distillers¶ solubles. milk by-products. The common mineral supplements in poultry feed are as follows: i. dicalcium phosphate (calcium. safflower. copper. bran. which must be present in the young growing chicks or they will grow poorly. lard. milk products. Minerals: The body of the chicken and the egg excluding shell contain nearly 4 and 1% mineral matter respectively. One point to remember. iii.
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. of course. have an accumulation of liver fat and be more susceptible for respiratory infection. iron. calcium). commercial vitamin mixture suitable for poultry are also available. milo. The elements known to be required in the diet of poultry are calcium. Laying hens with diets deficient in linoleic acid will lay small eggs that will not hatch well. etc. liver meal. zinc carbonate (zinc). vii. calcium). fish meal. ii. The 13 vitamins required by poultry have been summarised in tabular form. sodium.
Source: Meat scraps. iv. viii. manganese sulfate (manganese). zinc oxide (zinc). iodine. rice.

They said if implemented. says a press release issued here Thursday.
The PPA Chairman Khalil Sattar.Copra cake. Mohammad Sadiq and former chairman Dr.5 million people were attached to it.
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. coconut cake Cottonseed oil cake (decorticated) Groundnut oil cake (decorticated) Guar (Cyamopsis tetragonoloba)meal Safflower (Carthamus tinctorious)cake Mustard cake: Expeller Deoiled
5-10 Up to 5% by weight 15-3 Up to 5% by weight 10-15 10-20 25-50
Salseed cake (Shorea robusta) 0-5 Sesamum (Sesamum indicum orientale)cake 10-20 Soyabean meal 10-20 Karanja deoiled cake (Pongamia glabra) 7-8
Proposed GST on Poultry Feed Pakistan Poultry Association has demanded of the government to avoid implementation of general sales tax (GST) on poultry feed. they said GST on poultry feed would also jack up prices of processed chicken that was already consumed less than 5 per cent in Pakistan. The private sector has invested around Rs400 billion in the industry and around 1. Mohammad Aslam made the demand to this effect while addressing a press briefing here at the National Press Club. the GST would not only double chicken prices but also a cheap source of finest protein would go out of reach of the common man.
In the budget proposals of poultry industry.
They said that the local poultry industry was fulfilling the demands of entire country. PPA (Tariff and Taxation Committee) convenor Dr.

For the first time a local company i. Role of vet doctor is very important because their chemotherapy and management can bring profits. but also making many people unemployed.drugs.aspx?ID=48013&Cat=6&dt=5/20/2011
http://www. multiple drug therapy is very unprofessional and can lead fungal infection. Big Bird farms initiated to open a new department that produced vaccines for the birds. This situation. The decision to give medicines is very critical.pk/TodaysPrintDetail.com.shtml
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. Chicks have to be vaccinated five times to prevent bronchitis and Infectious Bursal Disease. Poultry farmers argue that R&D in vaccination is very important and expensive.development.pakissan. Moreover private investors are investing in controlled sheds and hatcheries rather than conventional farming which have mechanized the process with hygienic and controlled environment and minimizing the use of medicine. health was a great concern for the poultry farmers.12
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http://www.
The Pakistan Poultry Association also staged a protest demonstration in front of the National Press Club.their.thenews.com/english/allabout/livestock/poultry/misuse. The farming system in Pakistan was mostly unstructured and farmers paid little attention in finding the root cause of diseases and relied on rural medicines which were harmful for the animals. they said would lead to closure of poultry farms not only affecting the overall supply of chicken and eggs to the market. Little investment is done locally to produce medicines. Mohammad Aslam. The protest demonstration was led by PA Chairman Khalil Sattar and former chairman PPA Dr.11
Vaccination Industry
Before year 2000. The infections if not controlled can leave their traces in meat which is very harmful for humans.of. Most of the vaccines are imported from USA. Bird flu disease was an eye opener for poultry farmers who had suffered heavy losses and had to eliminate their entire stock. digestive problems and delay the growth of chicks.e.. Antibiotics are given to keep chicken healthy.They said there was no GST on eggs and chicken therefore the poultry owners could not transfer the burden on GST on the produce and would eventually face hardship in running their business.resistance.and. Pakistan is facing a shortage in specialized and trained vet nary doctors specially the rural areas which decreases the productivity of farms.Currently in Pakistan only 3 companies are producing vaccines which have a very nominal contribution to fulfill domestic demand.of. the industry can¶t invest in the sector without the involvement of government.

the Veterinary Medicine Business in Pakistan is supporting a vital segment of the economy even though the veterinary Business is still in an early stage of Market Development. Disease has progressively acquired a place of high significance and the major turning point for the success or failure of this sector. Substandard medicines and quackery
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.The role of imported veterinary medicine and vaccine in the poultry sector Contribution of the Livestock and Poultry Sector to the growth and development of Pakistan¶s Agrarian Economy :-
Population engaged in Agrarian Economy Agriculture¶s Contribution of GDP Livestock sector¶s contribution to agriculture Livestock sector¶s contribution to GDP Livestock contribution to exports
70 % 25 % 40 % 10 % 10 %
In addition. Seen in the above perspective. Eggs as well as skins and hides for value-added exports of quality leather goods. Livestock and Poultry Sector provide food to 140 Million population in the form of Protein-Milk. Meat. Had it not been for research in the development of EFFICACIOUS THERAPEUTIC AGENT and selective use of corrective medicine. Of all other multiple reasons. The due care and discretion in the selection of medicines and uses was very important towards the improvement in the health management of Poultry and Livestock sector. this single factor is pregnant with far reaching consequences as far as the farm economics are concerned. not be ignored. direct losses can be colossal due to out right deletion of the flock. Poultry and Livestock sector would not had taken its roots in the developing countries. The role of corrective chemotherapy can. covering just about 10 % of the total Livestock and Poultry industry potential in Pakistan.
Prevention and control of disease is most difficult and important in the poultry and Livestock industry. never the less.

The Poultry and Livestock sector is no exception to this phenomena. The imported vaccines and medicines with high efficacy had given a clear health protection to this industry.
The importers who are marketing the vaccines and medicines are not mere business representatives but are also effectively transferring Technologies to our local industry. drugs and disease. Much depends on their professional competence and discretionary acumen. This is possible only through the process of continuing scientific research and its effective application.
Life is a dynamic process.
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. It is here in this area of Poultry and Livestock sector that the Veterinarians and qualified prescribers acquire importance.had also aggravated this problem. the goal of self reliance cannot be achieved without giving proper attention on scientific research. characterize by emerging challenges and their effective solutions. Greater responsibility rest on Veterinarians to organize effective monitoring of the medicine available and offered for sale. Plan prepared to strengthen Veterinary Research Institute In order to control epidemics and prevent diseases of animals and poultry. The advancement and survival of any field depends on its ability to cope with a challenges it is facing. This relationship is also vital for national economy in general and animal health in particular. Veterinarians and Veterinary sale teams plays a very important role. Unfortunately the gap in this field between developed and developing countries is quite wide and likely to remain so. To prescribe a correct medicine in the line of treatment calls INDEPTH AWARENESS of the interaction between body.
The inherent relationship between Farmers. This bond between them plays the essential role of Technical application of latest technology in the animal health. Since our independent research and development had not been one of our top priorities due to a number of reasons. The research and development is need of time to transform poultry and Livestock sector into an industry. Punjab Livestock Department has prepared a project of Rs 65 million for strengthening Veterinary Research Institute (VRI) so that quality control and vaccine production capacity could be improved. Three prime role is to provide quality vaccines and medicines for the best care of poultry and Livestock sector.
The poultry sector had long been seen having all the qualities of industry with export potential but it still remains in the uncertainty because of multi factors.

13 Causes and effects of vaccination failure Since Adam¶s birth pathogens and living creatures are to be dagger drawn on each other. tissue Culture Rabies Vaccine and Infections Bursal Disease (IBD) vaccine to enhance the facilities at VRI by adopting new and modern technology.Under the project. etc. The main purpose of all vaccines and consequently vaccination is to administer an optimum and safe amount of antigen to elicit immune response in the bird. There current topic highlighted the factors which will come up in term of good immunity. The successful vaccination comes up in terms of higher and stonger immunity.vaternary. It is a worth remembering that antigens or vaccine or vaccination itself does not produce immunity rather it is the bird¶s immune system in general and immune cells in particular that provoke the immune response and present the antigen to T lymphocytes and by macrophages and from there it is expressed to b lymphocyte where the immune response initiated in items of antibodies.com/english/news/2002/october/plan.institute.30 percent per annum in poultry. which have been estimated to be rounded 11 percent per annum in cattle and buffalo and 20. These antibodies are identical to the antigen of vaccine. Pox group of diseases. Enterotoxaemia.
VRI is playing role of saviours towards maintenance of animal health and creating conditions suitable for developing poultry and livestock. On most of occasions we get proper protection with vaccination but immunity breakdown is usually not known. Vaccination does not give guarantee that birds are protected. Black Quarter. GENERAL PRINCIPLES OF VACCINATION : Vaccination involves the administration of antigen to stimulate the immune system to produce
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http://www. To take the bull of infection on right its horn and pay back in the same coins is the achievement of vaccination.pakissan.shtml
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. It is manufacturing 100 million doses annually of quality vaccines for combating contagious diseases like Haemorrhage septicaemia. the Veterinary Research Institute (VRI) will develop Newcastle Disease (ND) vaccine for poultry and introduce new vaccines namely Paste Petite Ruminants (PPR). This animal diseases caused significant economic losses to the livestock and poultry industry in the country.prepare. There are number of factors which may furnish the success of a vaccine.

Use clean equipment and drinkers and sterile syringes. Vaccination program should be based on the following considerations. 5. 3.  Cost of acquisition and administration of vaccines  Flock placement programs. vacterial. PRECAUTION FOR USE OF VACCINES : 1.  Immune status of parent stocks. Rinse the utensils with fresh water to avoid the errors. Do not use waterfor vaccine dilution containing disinfectants.  Cost benefit ratio associated with vaccination taking into account the risk of infection and financial loses from disease. 2. transfer shifting and grading. Do not vaccinate the birds during stress period particularly few days before or after the debeaking.  Availability of specific vaccines. as the metal ions and metals react with the vaccines to inactivate the live vaccines offered through the drinking water. In these conditions negative Immuno-modulation occur which ended with low level of active immunity. It is recommended to use the PVC or PET containers (Plastic). particularly the Bleaching Powder (Chlorine compounds) to avoid the possibility of these chemicals either stop usage of these substances a day earlier the vaccine is offered or two days earlier the vaccine is offered or two days vaccination. delay to offer by the
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.  Risk of exposure.specific antibodies against viral. enteric forms of vaccines are more sensitive to these type of chemicals. Aluminum and brass containers are not recommended due their maximum inactivation properties. so not use any chemical to disinfect the vaccine utensils because the residues of these chemicals inactivate the vaccines. Some diluents contains dyes more than optimum levels which act as sterilizes for diluent and at the same time inactive the vaccine .  Diseases prevalent in the urea of operation. and protozoal disease. 6. Avoid using metal drinkers and containers for mixing of vaccines. It is not wise to vaccinate the birds during extreme weather. Always use sterile diluents preferably of the same company for reconstitution of injectable vaccines as the different sources are not synchronized with the optimal requirements. 4. 7. Try to use the vaccines as soon as possible the vaccines are reconstituted. because heat stress on one end affect the bird and on other end effect the vaccine due to high environment temperature.

Addition of skim milk is recommended. 10. This reaction may some time normally occur after vaccination of ILT. INTRANASAL: By instillation or dipping the beak up to the naries. In case milk with fat or fresh milk is used it make aggregates on or near the surface of the container ( due to light weight fat) where the vaccine is mixed. the vaccinator make the vial and drop the birds until and unless the whole of the vaccine is not spent. IN DRINKING WATER: This corresponds to oral and intra nasal administration. The actual administration of vaccines of should be monitored by submission of serum samples to diagnostic laboratory for titer assay using ELISA or acceptable technique. In these route please do not dip the beak for too long short time. can be implemented at low cost but it is of limited effectiveness against some infections. the drinkers should be empty in one hour maximum taking in consideration of temperature of house and feed time. INTRAOCULAR: Eye dropping is most popular route of vaccination. There some ereors in the eye dropping made during the vaccination. nose or mouth dropping. 3. leading to develop different concentration zones in the container. Eye drop and intranasal routes suitable for hatchery adminstration and during brooding of chicks.farmers or sonsumption by the birds leads to temporal decrease in the vaccine tillers. Various methods of administrating vaccines are used commercially. Lower limit of skim milk per liter is fixed but there is no upper limit. therefore. In Pakistan the eye droppers are 30ml for 1000 birds. the higher the milk concentration the best will be the suspension of vaccine in drinking water. In these cases contaminated diluents or vaccines leads to infection of eye and blocked of lachrymal duct and drooling of water from the eye used for vaccination. ROUTE OF ADMINISTRATION : It is emphasized that appropriate control over the reconstitution of live vaccines is required to ensure potency. 9. In birds nose. 8.
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. The too longer time holding the vaccine. mouth and lachrymal duct opened in mouth. 2. including: 1. In those areas where the salt concentration is too high preferably vaccine the birds through injection or eye. as the particles of vaccines are distributed well in the water. the off water time may be adjusted. Drinking water administration. each of the route ended up with the same results with exception of the sensitivity and accommodation by the eyelid epithelium otherwise routes are nearly same.

This might be due to transportation from market to farm or from manufacturer to distributor to market. 5. failure of refrigerators. 7. AEROSOL ADMINISTRATION: Using a knapsack or electric sprayer to deliver vaccines to flocks as a coarse spray. IMPROPER STORAGE OF VACCINES This is the most common cause of vaccine failure in routine uses of vaccines. sunrays.  Exposure of heat. exposure of sunlight. storage in deep freezers. Due to some structural lacks in MHC it is possibility that the birds are recognize the one of the antigens. among the most common are the expired in storage due to sale. 6. injection to administer either live or inactivated emulsion vaccines to chicks rearing stocks and breeders. intra muscular depending on the type of vaccine and the direction of the manufacturer.4. failure of electricity.. Be careful that eye of the needle carries vaccine each time or not. IN OVO VACCINATION: At 18 days of incubation using the patented Inovoject system. WING-WEB STAB: This method is used to administer fowl pox vaccine or other live vaccines directly to each bird. POST-HATCH SPRAY VACCINATION: In cabinets for mass-adminstration of aerosol vaccines to day old chicks. To avoid the damages bottles either packed in cold bucket or use chilled diluents. expired due to less shelf life ( it must be year plus when reached in Pakistan ) expired supply by the manufacturer only with few months in hand. brooding house temperature to diluents mixed vaccines.  Do not open the lid of vaccine in the open environment as the vaccines are contained in
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. 8. INJECTION: Subcutaneous. room temperature. This is mostly employed for ND. IB vaccination on day one in hatchery or farm. Most commonly recommended in the case of Gumboro and Marek¶s vaccines. GENETIC RESISTENCE The major histocompatibility complex varies from bird to bird and its structure dictates if a bird will respond to an antigen at all. FAILURE OF VACCINE : USE OF EXPIRED VACCINE Vaccines re expired by many ways. coolers or thermos and using the translucent thin membrane shoppers permitting the sunlight exposure. expired in storage due to sale. Subcutaneous. Ignoring the use of ice box. Therefore that strain of birds might be more susceptible to pathogen.

which make the non uniform mixing of vaccine and lower the antigen amount. Salmonella and Mycoplasma etc.
POOR NUTRITION Hypoprotenemia especially protein hurt the immune response as antibodies are made up of amino acids. IMMUNO SUPPRESSION DUE TO DRUGS Continuous administration of Immuno-suppressive drugs such as chloramphenicol.negative pressured bottles. MYCOTOXINS Presence of mycotoxin in the feed affect the vaccinal response very badly. REO Virus.  Avoid to use the improper disinfected syringes and needles. may cause varying degree negative immunomodulation which consequently may lead to vaccinal failure or adverse reaction in the face of these disease. alcohol) may be avoided as these chemicals inactivate the vaccinal virus. Mycotoxin reduce host immunity directly by reducing the Macrophage engulfing tendency and production of toxin. furazolidone may cause cause poor immunity development. Gumboro Disease Virus (Birna virus). Due to heat stress lot of steroid production do occur which decrease the lymphocytes produce the antibodies. Use disposable syringe to constitute the vaccine or open the bottle lid inside the water to avoid the sudden change in pressure. HEALTH STATUS OF THE FLOCK The infectious agents such as Chicken Anemia Agent (Circo virus). lymphocytes which give poor out put in immunity development. narrow bore needle may retained the cell culture vaccines. COLD AND HIGH DENSITY STRESS These are social stress as well as stress like heat stress and decrease the immunity by decreasing the number of lymphocyte.
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. Always use wide bore needles for vaccine suction or dilution. protein synthesis and immunity. Poor nutrition causes problem with metabolism. WATER DEPRIVATION AND HEAT STRESS Due to water deprivation the bird is exposed to heat stress.  Exposure to viricidal disinfectants (phenols. This is common observation that the dehydrated and heat exposed birds commonly infected with coli septicemia and other diseases. Mycotoxin indirectly affect the bird by producing steroids from the adrenal glands which decrease the lymphocytes and increase the neutrophils by the virtue of increased nutrophil the bird become Immune compromised. which is the factory of antibodies. Marek¶s Disease Virus (Herpes Virus ).

Ammonia condentration above 100 PPMm always associated with the respiratory disease. where the salt level is half of the sea water and EC even in Islamabad is 600-2000. This is called secretory immune mechanism and it is watch dog on the port of entry. Hairs cilia moist membranes are among the preventive cushions. The hot intermediate and intermediate plus do have the VP-2 protein and can penetrate up to the site of proliferation. Due to high maternal antibodies not only the vaccinal antigen is destroyed but also the maternal antibodies are also destroyed leaving the bird exposed to field challenge if earlier vaccination in high titer is done. If the ammonia levels are high in the house above 30PPM it has bad effect on the birds ability to produce local immunity as the cells on the surface of moist membranes are affected badly with the ammonia because ammonia is water soluble gas. Poor water quality and high salt concentration produce ill effect on the vaccine diluted in such kind of water.a through the lymphocytes present on the surface of these organs. The bird is media in which the
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. PRESENCE OF VARIANT IN FIELD It has been observed that with the emergence of new variants the classical vaccines are no more effective to control the disease. trachea. In the absence of the local immunity the bird become susceptible to viral diseases particularly those which proliferates in respiratory tract.PRESENCE OF AMMONIA IN HOUSES On the port of entry from where the pathogens are entered the body to produce infection there are some host defense mechanism which prevent the entry of pathogens. ADMINISTRATION ERRORS QUALITY OF WATER Water quality ispoor in most of the areas of Pakistan. Sheikhupura and Multan Division. After the live virus has been applied the bird serves as a virus production site. also play a role in neutralizing the vaccinal antigen thus making the vaccine less effective and designing the vaccine program more difficult. Classical vaccine of gumboro is missing the VP-2 protien therefore it is not effective against field variant or strain. Moreover high levels of maternal antibodies against infectious agent such as Gumboro. POOR ANTIGENICITY OF VACCINES Live vaccines must be applied at a level at or above the minimum infective dose. nostrils and bronshi produce Immunoglobulin . particularly in salinity affected areas such as Faisalabad. It has negative feed back effect on B lymphocytes. The moist membranes of or the mucous membranes among the gut . MATERNAL ANTIBODIES High maternal antibodies inhibit the chicken immune response. In the same manner classical IB is no more effective against IB variants. As the ammonia is water soluble gas one can easily felt the ammonia as it dissolved in lachyymal secertion of the eyes .

always contact well facilitated Lab. GEONETICS Means simply the geographical influence on the gentics of local poultry ppulation.  Immuno suppression.  Water.  House sanitation.  Timing of vaccination. A build up of dust and ammonia often occurs. INTERFERENCE Do not give live respiratory vaccines (IB.  Vaccine strain.  Down time. This is also true in case of ND and AI vaccine.  Route of application. These include:  Chick quality.  Level of maternal antibodies. For potency testing of vaccines. The geontical influence may affect the ultimate response of birds to vaccine under indigenous environments and may result in vaccine failure. Do ND vaccine earlier andthan proceed for AI vaccine.  A normal respiratory vaccine reaction in broiler chicks begins about four days post vaccination and lasts about five days. can complicate vaccination andresult in airaculitis.ND.14
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. Several factors can affect the severity of the reaction that occur. VACCINATION REATIONS Adverse vaccine reaction.ILT) within 3 to 4 days if not combined by the manufacturer in licensed combination. The difference pay more if they are present in MHC.  Doses of vaccine used. These birds will react to respiratory vaccines for several days some time during the entire grown out. A rolling vaccine reaction is one of increased duration and/or intensity compared to what is normally expected. Inactivated vaccines should contain sufficient amount of antigen to stimulate an immune response when applied the bird as there is no multiplication of the virus of bacteria in the bird. Reation may be too great or response to the later vaccine may be compromised due to interference.litter and air quality.initial dose of vaccine can multiply to a level which will stimulate a proper immune response. and will cause respiratory vaccine reactions to be more severe which may never clear completely between vaccinations. however do not serve a useful purpose and should be prevented if at all possible. The bacteria or fungus in haled during few hours of life or present in the yolk sac.

Broiler litter as a feed or fertilizer in livestock operations. sawdust.Poultry By-Products
Poultry by products are usually used as cattle food. In Pakistan poultry litter is not used as a fuel. Manure contains urea that is used as an ingredient in fertilizer industry.role. shtml
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Bagley. power generation from this can open new opportunities for the investors and can help us to solve the issue of loadsheding. ISSN 0886-7488. Lastly poultry litter is used to produce electricity in developed countries.medicine. Over a process of 40-45 days. Evans. Mississippi State University: Mississippi State University Cooperative Extension Service.pakissan.com/english/allabout/livestock/poultry/the.imported. the litter is filled with bird manure. peanut hulls sugar cane and straw. US9561988
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. Broiler legs and litter are fed to herbivores.P. fertilizers and fuel. which are left over of wood shaving.It is a very economical ingredient but has a drawback is that poultry litter cannot be transported to long distances because it starts to loose weight. (Apr 1995). Poultry litter. Litter cost is RS 50006000 per truck and after 45 days the weight doubles due to added manure of hens. C.veterinary.of. This fertilizer is then sold at RS 18000 per truck. is placed on the ground where chicks are been kept..15
http://www. R. it fulfills the protein requirements of animals and works as medicine against some diseases like Mad Cow disease. Due to current shortage of electricity in Pakistan.R.

meat is the most essential food item in people¶s daily diet. trend-setting local market helps local firms anticipate global trends. out-dated techniques & water shortages. the government has to find ways to increase the production to provide for sustenance as well as generating surplus which can be exported to earn the much needed foreign exchange. According to a Gilani Research Foundation survey carried out by Gallup Pakistan. In a survey in October 2008. the food production has experienced great setbacks. To counter this. More than 50% Pakistanis prefer meat over vegetables and pulses. Due to poor nature of soil.Demand Conditions
We would like to begin with an introduction of what are demand conditions: y y y Local demand should be anticipatory of foreign demand. Domestic demand should be stringent and sophisticated. leading to a competitive advantage when the local firms begin exporting the product. Given. the fact that Pakistan¶s population is growing around 3% per annum. When the market for a particular product is larger locally than in foreign markets. A more demanding local market leads to national advantage. Assuming that financial constraints were removed and price was kept constant the results revealed: y y y 52% would prefer meat 37% would choose vegetables 18% would like to have pulses
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. meat production is used to in order to overcome the potential food shortage. A strong.
y y
Demand of poultry:
Pakistan is an agricultural country and a huge proportion of its population is dependant upon agricultural goods & products for their livelihood. respondents were also asked to list what they would like as the main component of their daily diet. the local firms devote more attention to that product than do foreign firms.

2008. Error margin is estimated to be approx.
Distribution of Meat Consumption
1986 45% 14% 35% 2009 37% 18% 51%
Chicken
Beef
Mutton
In recent years chicken has maintained its position as the largest source of meat consumption in Pakistan. However.
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. the share of chicken in meat consumption fell to 39% in 2007. The graph shows how the levels of preference of chicken and mutton have interchanged between the years 1986 and 2009. the Pakistani affiliate of Gallup International. many changes have been observed in the pattern of meat consumption in the country. After reaching a very high figure of 49% in 2000.Over the years. chicken lost part of its edge due to apprehensions caused by viruses such as bird flu. + 2-3 per cent at 95% confidence level. Most of the loss in level of chicken preference translated into gain in mutton consumption (its level rising from 29% to 36%). among a sample of 2562 men and women in rural and urban areas of the country during October 19-20. The study was carried out by Gallup Pakistan. after experiencing dramatic rise for some 20 years. However in the most recent survey we see that chicken is gaining back its lost share (45%).

At town and farm level. the farmers suggested a tripartite market arrangement in the form of farmers. About 70 per cent of producers sold their output in the main markets. feed dealers.
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.
Conclusions
One of the major findings of the study was that middlemen at various levels of poultry marketing system were exploiting the poultry farmers. They used many tactics such as juggling with weighing scales. Commission agents/wholesalers are the major player in deciding the price at the retailer¶s level. Farmers cannot take the risk of keeping the broilers after the recommended growth period because after that period cost of production increases rapidly than the weight gain of birds. Farmers for timely disposal of their output used the intermediaries. Reasons of non-remunerative price to producers are: a) Missing direct linkages between producers and consumers. After interviewing different stake holders. Generally. The procedure of current marketing system was highly criticized by farmers. under counting and under weighing to deceive the farmers. the retailers and feed dealers worked as intermediaries. Sadly. the main broiler business was operated through three intermediaries namely: commission agents. middlemen and the government. Farmers mainly had three outlets for the sale of their products namely: main market. producers could not develop direct linkages with the consumers and therefore. In view of this. 2005). it was observed that rapid price fluctuation. and b) Lack of investment to develop infrastructure. and butchers who charged certain amount as commission fee for their services. The provision of credit to the bird growers will allow them to reach directly to the retailers and could kick the commission agents out of the process. producers are not getting expected prices. but they reported that commission fees of these intermediaries were very high. It is one of the main hindrances to improve the contribution of poultry in protein uptakes. under weighing and high charges of commission were the major problems of present marketing system. profit of middlemen should be decreased. while consumers are paying high prices. 2003). which do not provide chance to producer to understand consumer¶s behavior. The contribution of poultry in total nutrients uptake cannot be increased without lowering the prices of poultry products at the consumer level and by increasing the profit of producers.Problems faced by poultry producers:
The marketing of broilers is in the hands of few functionaries who force the farmers to sell their product at the maneuvered prices. Many farmers claimed that intermediaries did not follow business ethics and tried to fetch maximum profit from business transactions. there was no agency to check such unfair commission rates (Anwar. Government should also take initiatives to develop laws which can allow producers to sell their products directly in market (Islam. town market and farm. As a result. Hence. Marketing system still remains in traditional and heterogeneous condition.

30(3): 172-174. the coefficient of age showed a positive sign with the poultry meat but it was also non-significant. retail price and bird flu are the important determinants of demand for poultry meat.01) showing that for every one unit increase in price 174 Pak Vet J.583 times decrease in demand of poultry meat in days of bird flu epidemic.653 -0.57) in our analysis was significant. The coefficient of family size was 0.418 Kg decrease in poultry meat. family size. Variable Income Age Bird Flue Family Size Price Coefficient 0.001 Kg increase in the demand of poultry meat This is consistent with economic theory that higher income increases the demand of poultry meat.653 (P<0. The value of this variable was -1. This variable showed a positive sign with the demand of poultry meat but was non-significant. Professional experience of poultry farmers. average production cost. 2010. Retail price is one of the most important variables affecting demand of poultry meat. In the estimated demand model. The coefficient of education was 0.05) which showed that there would be 1. The coefficient of this variable was -0.653 Kg increase in demand of poultry meat. Similarly.
59
. the coefficient of income was 0. showing correct specification of the model.418
(rupees/Kg) there would be 0.001 (P<0. The F-value (16. Similar findings were recorded by Rasool (1991) and Zahid (1994).001 0.Demand function
Income is an important variable of demand for poultry meat.583 (P<0. The value of adjusted R2in our analysis was 0. The effect of bird flu on demand of poultry meat was estimated using a dummy variable (Table 2). sale price of poultry birds and bird flu are some of the important variables affecting supply of poultry birds whereas income.583 0.009 -1.05) which showed that for every one unit increase in family size (one person) there might be 0.763 which means that independent variables included in the model explained 76% variation in dependent variable.01) which revealed that for one unit increase in income (Rupees) there might be 0.418 (P<0.139.

Major Consumers:
Individual households are one of the major consumers of poultry whereas the rest of the bulk of demand is for commercial ventures like restaurants. ready to cook. many governments have exempted prepared food from the levy of VAT and sales tax.121 per month on food spends approximately Rs 135 on poultry products. the levy of RGST will overburden all classes of consumers without any exception. Rs 110 on beef and only Rs 15 on mutton.
Government policies
RGST Government policies like imposition of taxes also directly affect the poultry demand for example the recent planned imposition of 15 percent Reformed General Sales Tax (RGST) on the poultry sector in the upcoming budget will not only deprive millions of rural population from their livelihood but also push its rates at a level affordable by only the opulent segment of the population. This is mostly because of high prices of raw materials.´ said Pakistan Poultry Association (PPA) Chairman Khalil Sattar at a press conference eat a local hotel. The chairman said in UK and rest of the European Union even though the per capita income is above $30. He said that chicken is in the reach of all classes of consumers as was documented in the Household Integrated Economic Survey 2007-08 which showed that a consumer spending Rs 4. ³This would also spell adverse consequences for the socio economic uplift of the downtrodden rural populous and it may spell out unemployment and bankruptcy for scores of medium and small farms as well. electricity shortfalls (forcing the use of diesel powered generators) and rising fuel price. processed. Also. whenever demand increases it directly raises prices. One thing which must be kept in mind here is that in Pakistan with gradual increase in production we have now achieved a level where demand is less than supply but still our poultry products are priced at a level which is out of reach of majority of consumers. fully cooked. In Pakistan we have seasonal demand. with an increase in demand during winter and same is the case of Ramadan. yet all food items including branded. The PPA opposed the RGST on the poultry sector and
60
. frozen. Even in the USA. etc are zero-rated for valueadded tax (VAT) and sales tax. other cultural factors like marriage season usually just before Ramadan and Moharram result in an increase in demand. fast food chains and hotels. As such. Because government control is minimal and there is no set pricing strategy hence.000 per annum and the need for revenue is extremely high.

branded. Thus. Iran. increase by 100 percent from Rs 175 per kilogramme (kg) to Rs 350 per kg. principles and philosophy of the GST. which resulted in a price spiral of not only chicken and eggs but also mutton and beef. The experiment of levying GST in the year 1996 resulted in a sharp decline of 45 percent in poultry production. In such a case. Australia. while eggs at 32 percent below the cost. the government in 2008 announced zero-rating of poultry processing. eight out of nine processing plants had closed down in the face of challenges from the unorganised street side slaughter. In the face of losses. parent stock. He stated that poultry product prices are truly a demand and supply mechanism . New Zealand. China and even the very affluent countries in the EU. he had no doubts that a large number of farms will close down and the prices of chicken meat could. chicken and eggs. Agriculture and Livestock and Ministry of Commerce had launched a policy of encouraging value addition to attain qualitative and quantitative objectives and more importantly bringing about stabilisation in poultry product prices to expand the production base for ultimate objective of exports. which encouraged setting up of two more processing plants. The levy of RGST on poultry feed is against all norms. value-added chicken attracting 15 percent RGST. the government of India.The chairman further emphasised that withdrawal of zero-rating on processed. The levy will increase the price of skinless whole chicken by Rs 31 per kg and boneless chicken by Rs 51 per kg increasing the gap between the organised and unorganised sector.as such the increase cannot be passed on to the consumers at will. He further informed that during 1976-2009. If the output is exempted the input cannot be subject to GST. would result in defeating the government ¶s own policy of 2006 when the Ministry of Food.
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. He emphasised that this phenomena of short supply and high prices was amply demonstrated as an aftermath of bird flu when the prices had soared more than 150 percent. to provide a level-playing field. chicken will be produced only for the upper class.withdrawal of exemption/zero-rating on processed chicken. The government of Pakistan is contemplating to levy a 15 percent RGST on poultry feed while exempting chicken and eggs and withdrawing zero-rating on processed branded chicken. and many states in the USA have either exempted or zero-rated poultry feed. He emphasised that processing plants were an essential requirement for food safety and security. The sales tax was consequently withdrawn by the government in 1997 to put the poultry sector back on its rails. A 15 percent increase would undoubtedly increase the cost of grandparents. which would result in a levy of 15 percent RGST. he added. in the face of short supply. Thailand. Imposition of RGST will be the final nail in the coffin. He said that presently a day old chicks are being sold at less than 1/3 the price and broilers are being sold at 20 percent below the cost. He said that poultry feed contributes 80 percent to the input cost. He said that in order to keep the input cost low. Bangladesh. he justified. broiler and egg production operations.

The participants of the meeting said ban on serving meals in marriages had destroyed the poultry industry and forced poultry farmers to wind up their business. Rural means demand of desi poultry. Rural poultry is more demanded by the health conscious portion of the population as its meat has higher protein content and feed given to the birds is natural. and the government should handle the matter to restore the export. The participants said Pakistan imposed a ban on import of poultry and poultry products from more than 18 bird flu affected countries which saved the country from this killer disease.
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. Denouncing the reports about bird flu in Pakistan. ³Poultry industry is the second biggest industry of Pakistan. Speaking on the occasion. RCCI President Jalil Ahmed Malik presided over the meeting which was attended by office-bearers of PPA and the RCCI members. they added. they said some mischievous people were causing panic to destroy the poultry industry. This has also threatened the jobs of millions of people involved with this industry directly and indirectly. In the recent outbreaks of Avian Influenza.´ they said. they added. Since we currently process only 0. a number of countries had banned the sale of live birds and given incentives and patronage to the processing sector so that live birds gradually disappear from the markets. Marriage Ordinance: The government should put the marriage ordinance before the parliament for final approval and allow at least one-dish meals to save the country¶s poultry industry. serious concerns are raised over the feed of commercial chicken or broiler and it is widely believed that it can be a major cause of cancer.5 percent of the live birds the policy of encouragement needs to be continued.´ They said export of poultry and poultry products to Afghanistan was also stopped as the Afghan government had also banned it. Many people have serious concerns over the 44 day cycle of broiler and question have been regularly raised whether it is natural or not and some even say that the meat is not Halal.The greatest danger in transporting live birds to the markets and household was transmission and spread of viral and bacterial diseases endangering not only the poultry but human population as well.
The overall demand of poultry is bifurcated into commercial and rural demand. This would be a great setback for the industry and would render many jobless. RCCI President Jalil Ahmed Malik said the poultry industry was facing various problems for the past few years due to various government measures and bird flu. Whereas. ³It is unfortunate that many Gulf and middle eastern countries have imposed ban on poultry products from Pakistan. contributing very high to national exchequer besides providing jobs to a huge population. The participants said they would file a case against Wapda in Nepra for declaring the electricity tariff as commercial instead of industrial. This was stated by officials of the Pakistan Poultry Association (PPA) and senior executives of the Rawalpindi Chamber of Commerce and Industry (RCCI) in a joint meeting held at the chamber¶s offices.

BENCHMARKING WITH INDIA
Poultry Industry in India
Poultry is one of the fastest growing segments of the agricultural sector in India today. As a result. environment. While the production of agricultural crops has been rising at a rate of 1. * See Mehta R. May 2002. The report is organized into eight chapters. Chapter 3 provides details about data and survey. and so on. the structure of the industry. (Mimeo) Phase I project report submitted to IFPRI. and marketing. Chapter 1 provides a short review of the poultry industry in India .how it has grown over the past two or three decades. which forms part of an ongoing international comparison study on poultry. India is now the world's fifth largest egg producer and the eighteenth largest producer of broilers.. policy distortion and environment externalities place the small-scale producer at a disadvantage? Why do some poultry farms have higher income than others? Do large farms earn more profit per unit of output than small ones? What explains the differentials in profitability? This report *.al. seeks to address these questions.. accessibility to assets. itLivestock Industrialization. G. questions are being raised about the impact of the scaling up of production-through structural factors. Driving this expansion are a combination of factors . The study aims to collect and analyze consistent data. Trade and Social . Chapter 2 discusses the objectives and scope of the study.growth in per capita income.Health Environment Impact in Developing Countries: A Case Study of Indian Poultry Sectorle. sample size. It attempts to assess the impact of policy and environmental factors on the scale of poultry operations in India as well as the implications of that impact for small-scale production. In Chapter 4 the approach for estimating efficiency and scale economies is reviewed. timing of the survey. a growing urban population and falling real poultry prices. along with hypotheses to be tested.. and problems encountered. that of eggs and broilers has been rising at a rate of 8 to 10 percent per annum. focusing on survey location. In the context of this emerging scenario. et. Chapter 5 then presents data based on analyses of sample information about the accessibility of sample units to information. Do the transaction costs. Nambiar R. These results are followed by estimates of mass 63
. externalities and policies-on small-scale producers.5 to 2 percent per annum. technology. changes in the scale of operations. production practices.

ll and in Babcock. lt is Shaver.13 kg. Finally. and that of poultry meat 735. The empirical results based on application of the model outlined in Chapter 4 are discussed in Chapter 7.000 tonnes. The value of egg and poultry production in India during 1980-2000 is illustrated in Figure 1.5 kg. Today units with fewer than 5. with a per capita consumption of 18 eggs and 0.account for about 45 percent of the country's egg production. and poultry processing sectors. Kerala and Tamil Nadu .3.000 birds are becoming rare. with a per capita consumption of 57 eggs and 0. This transformation has involved sizeable investments in breeding. rearing and processing.2 shows egg production in India by region during 1992-93. The northern and western regions of the country record much higher figures than the eastern and central regions with respect to per capita availability of eggs and broiler meat. organized facilities have been set up over the years for the manufacture of egg powder and frozen. excellent feed conversion and high profits to the rearers. hatching.000 birds per week 64
. and units with 5.
Increasing Scale of Operation
The growth of the poultry sector in India is also marked by an increase in the size of the poultry farm. India is one of the few countries in the world that has put into place a sustained Specific Pathogen Free (SPF) egg production project. minimal government intervention. Figure 1. considerable indigenous poultry genetics capabilities. Presently production of eggs is estimated to number about 37 billion. of broiler meat.balance results in Chapter 6. Karnataka.000 to 50. A significant feature of India's poultry industry has been its transformation from a mere backyard activity into a major commercial activity in just about four decades. lt which ensure faster growth.
Growing Production of Eggs and Broilers
Table eggs and broiler meat are the major end products of the poultry sector in India.
Regional Variation in Poultry Development
Another important aspect of poultry development in India is the significant variation in the industry across regions. Figure 1. In earlier years broiler farms had produced on average a few hundred birds (200-500 chicks) per cycle.Andhra Pradesh.1 illustrates egg production in India by state during 1998-99. The industry has grown largely due to the initiative of private enterprise. of broiler meat. poultry feed. good liveability.
Transformation from a Backyard Activity to a Major Commercial Activity
The poultry sector in India has undergone a paradigm shift in structure and operation. Farmers in India have moved from rearing non-descript birds to today rearing hybrids such as is Hyaline. processed broiler meat essentially to cater to export markets and markets in the metropolitan areas of India. conclusions and policy discussions follow in Chapter 8. In addition. that of broilers 895 million. The eastern and central regions of India account for about 20 percent of egg production. The four southern states . poultry equipment. and considerable support from the complementary veterinary health.

fish. Similarly. or egg commodity group ranks third. while in rural areas this proportion increased by four percent. Per capita consumption of eggs is only 7. fish or eggs ranks second in the quantity of commodities consumed in rural areas (milk and milk products rank first).increased by only one percent in urban areas. units with a flock size of 10. per capita consumption is less than 3. Over time there has been a gradual shift from vegetarianism to non-vegetarianism. estimates 65
. contracting production. in urban areas. again.cycle are common. providing veterinary services. calculation of income elasticity of demand for different commodity groups shows that the commodity group that includes meat.7 per annum in rural areas compared with 17.08 kg.66 in urban areas.
Concentration of Poultry Units Around Cities and Urban Centers
There has also been a growing tendency for poultry units to be concentrated around urban areas because of the existence of ready markets for the end products of poultry production.
Structure of the Poultry Industry
The structure of India's poultry industry varies from region to region. First. The change is more visible in rural areas than in urban areas. Meat.75 in rural areas and 0. For instance. of poultry meat per capita per annum. in layer farms. and wholesaling. Some small units are reported to be shifting from layer to broiler production because output in broiler units can be realized in six weeks. the proportion of households consuming only one of the three items .000 birds have become common. including the raising of grandparent and parent flocks. In seven states. in rural areas and 1. fish or eggs have the high price elasticity of 0. While independent and relatively small-scale producers account for the bulk of production.68 in urban areas.000 to 50. Third. The estimated income elasticity is 1.01 in rural areas and 0. and veterinary care services and the non-availability of credit. there is considerable variation in per capita consumption between rural and urban areas and also across the region. Here. expensive vaccines.
Slow Changes in Consumption Habits
An analysis of consumption data originating from National Sample Survey (NSS) rounds reveals many interesting facts. per capita consumption of poultry meat is 0. the price elasticity also follows the same order. Small units are probably finding themselves at a disadvantage because of high feed and transport costs. integrated large-scale producers do account for a growing share of output in some regions. meat or eggs . Fourth.8 per annum in urban areas. Similarly. fish. meat or eggs. compounding feed. between 1987-88 and 1999-2000.5 per annum.24 kg.
Low Per Capita Consumption
Even though India is the world's fifth largest egg producer and the eighteenth largest producer of broilers. Integrators include large regional firms that incorporate all aspects of production. its per capita consumption of these products is poor . The remaining 68 percent of households are non-vegetarians. rearing DOCs. 42 percent of households are vegetarian in that they do not eat fish.37 eggs and 1 kg. while in urban areas consumption of the meat. Second.

Additionally.5 in rural areas and 0. The presence of so many market intermediaries harms both the producer and the 66
.6 in urban areas.
Exports
Exports of poultry products from India comprise table eggs.. eggs and broilers.U. As a result. The income elasticity is low for the wealthy . Price elasticities are greater than unity for the very poor and the poor in rural areas.e. Considering globalization and the international trade in poultry products.of income and price elasticities calculated for each of the four expenditure groups show that those elasticities tend to decline as one moves from the poor to the non-poor and the wealthy.
Issues Relating to Animal Welfare and Environmental Pollution
Issues relating to animal welfare and environmental pollution by poultry units have been of increasing concern in developed countries such as the U. equipment and other services required by the poultry sector. The value of aggregated exports was Rs. underwent a significant shift. live birds and value-added products such as egg powder and frozen yolk.). and for the very poor in urban areas. But in India these issues have not yet emerged as critical although they are discussed at length in various seminars and forums on poultry production.
Constraints on the Growth of the Poultry Industry
A major constraint affecting the growth of the poultry industry in India is the lack of basic infrastructure such as storage and transportation. these issues may assume significance in a few years because of pressures from importing countries such as those in the E. With the demand for poultry increasing and production reaching 37 billion eggs and 1 billion broilers. pharmaceuticals. 1.
Employment
Three decades ago. i. the total employment numbers in the poultry sector were not so encouraging.greater than unity.683 million in 1996-97. which includes dairy and poultry. Another constraint to growth is an inefficient marketing system. Exports were expected to reach the level of Rs.S. when egg and broiler production was 10 billion and 30 million. As income and employment in the crop sector started diminishing. including cold chain. however. At least 80 percent of employment in the poultry sector is generated directly by these farmers. respectively.6 million who are engaged in marketing and other channels servicing the poultry sector.0.6 million people. there are wild price fluctuations in the prices of poultry products. there may be a similar number of people roughly 1. meat. the non-crop sector. while 20 percent is engaged in feed. and the European Union (E. The other two income groups in rural areas have high-income elasticity . this sector now employs around 1.U. 5 billion by the year 2000. A significant policy implication of these consumption habits is that there is lot of scope in raising the demand for poultry products in rural areas.

which will involve using GM (genetically modified) seed varieties or. which will help not only to stabilize the price of poultry products in the domestic market. A third problem relates to the price availability of feed resources. (b) creating an efficient marketing channel that will help provide remunerative prices to producers (in other words. which is not sufficient if the current growth rate of the industry is to be maintained. India's marketing set-up should also grow along professional lines).
Policy Measures
The policy measures that are required to improve the poultry industry must involve: (a) improving infrastructure facilities. as it constitutes 50 to 55 percent of broiler feed. Maize or corn plays a major role in broiler production.
67
. Presently India grows only 11 million tonnes of maize and only 5 million tonnes are available for poultry.consumer. will necessitate finding other sources of feed ingredients that can replace maize. but will also make them available in remote areas. and (c) increasing maize production. alternatively. the demand for maize is thus likely to increase. As the broiler industry is growing at the rate of 15 percent per annum.

The requirement of protein is 102. Bicycle. Canada. we should give emphasis on quality and price. transportation means the moving of goods from surplus production areas to deficient areas. The main source of animal protein is beef. The gap in requirement of protein is 33. To overcome the animal protein gap. substandard and costly feed and inefficient marketing system.. France. In developing countries like Pakistan where the population is growing at a faster rate. In economic sense. So. Germany. milk.K.7 gram per head per day while the available protein is 69. It is capable of providing protein in terms of quality and can narrow the animal protein supply gap in minimum possible time as compared to other sources of animal protein. the gap in production of food especially of animal origin is widening year after year. Poultry farmers don't get fair returns. they can earn more profit out of their business. Grading is largely ignored in egg trade because of extra cost required for grading.09 gram. They put a lot of effort in increasing and developing their business but the commission agents usually get the produce from them at low prices and earn a lot of profit by selling at a higher price. the commission agents and retailers use various means of transportation to take produce to the market. poultry meat and eggs. there is a need for improving the efficiency and lowering the cost of distribution. The animal protein shortage seems still more grave especially when it is compared with the protein intake of various developed countries like U. In a competitive environment only those products will be accepted by consumers which are of good quality and are also available at reasonable price. mutton.A. At present 66 per cent of the people are deficient in protein. In all stages of development.RECOMMENDATION FOR THE POULTRY INDUSTRY OF PAKISTAN
The human diet in Pakistan is deficient with respect to proteins of animal origin. motorcycle. Transportation is the most important component of marketing system. bumpy roads and lack of modern packing techniques. poultry meat seems to offer much better prospects. wagons and donkey carts are being used for transportation. An economical marketing system can help the producers sell their products at reasonable prices and the consumers to buy their needs at minimum cost. where consumption of protein is 79-95 gram per capita per day of which 46-65 gram is protein of vegetable origin.. following suggestions may be helpful:  To curtail breakage losses.S. Japan and U. The poultry industry faces problems like the incidence of diseases. The higher losses during transportation are due to longer distance. If we want to survive in post-WTO scenario. For marketing of eggs and birds. packing and distribution system should be modernized
71
. To improve the present marketing system of poultry. osses occur in case of death of birds due to diseases and poor handling. Poultry farmers should do their job both as producer as well as commission agents.61 gram per head per day.

 Government should take immediate steps to improve the roads, for timely and quickly delivery of produce.  To enhance economic viability of the poultry industry, the prices of feed and medicines should be kept within reasonable limits.  Poultry coordination boards should be established at federal as well as provincial level to stabilize and maintain quality prices.  Lack of grading at farm level dos not promotes the quality of eggs at a price premium. So practice of grading at producer's level would be encouraged and price information on the basis of grades and standards should be regularly collected and disseminated.  Inadequate health facilities are one of the major constraints in poultry production. It is due to viral, bacterial infection and parasitic infestation. For this, a long run vaccination and de-worming campaign policy should be started at national level.

 Government should construct veterinary laboratory for drug residue testing in the poultry products. This will ensure quality in exported products.  Federal Government should to set up a permanent commission for livestock sector entrusted with the assignment of constant monitoring of the situation in this area and reacting immediately in case of an emergency or crisis . The mandate of this commission should also include to curb the spread of misinformation regarding the spread of these diseases

Appendix
Questionnaire [Type the document title]
For our research aiming at the analysis of the POULTRY sector in Pakistan, we request you to please answer this questionnaire regarding your company. Name of Company _________________________ Name of Respondent________________________ Contact No.________________________________ Email address ______________________________ Designation ________________________________

Firm Level (In the value chain the products pass through all activities of the chain in order, and at each activity the product gains some value) 1. In the chain of activities of your poultry farm what gives your products more added value at each step of the procedure? 2. Can u specify any specific processes that are used in the poultry industry? For example we have heard about the 60 day cycle vs the 90 days cycle of the growing processing of hens? At this level of value chain there two products: eggs and chicks The primary activities of the value chain model include:
75

Suppliers In-Bound Logistics Operations Middle Men (Levels) Seller Eg. Economic factors: given the present economic circumstances how have these affected the growth of the industry? Are there (industry) health statistics that you can tell us about? 3. PESTLE ANALYSIS 1. Environmental factors
77
.. Legal factors: (comment: For example a legislation has been passed on taxation of the middlemen in the agriculture sector can you tell us about any such legislation that have influenced your industry) Similarly can you also tell us about: 5. Political factors: in respect to the current political environment of the country what are the implications specific to the poultry industry? 2. We would like you to tell us about the following factors relating to the industry. Delivery ______________________ Buyer (Consumer) y Contribution margin in terms of final product pricing
To get the information about the environment OF the industry
SECTION -II
We would like to begin with the issues and challenges about the poultry industry in general to have a more elaborate and structured view about it. Social factors : 6. Technological factors: Has any technological advancements played any role in the performance of the industry 4.

set goals
and are managed is important for success) Is the presence of intense rivalry in the home base present? If yes. Related and supporting industries (Industries that can produce inputs which are important for innovation and internationalization). Factor conditions (human. knowledge. How do you think have you utilized these resources at your poultry farm? 2. then do you personally feel that it creates pressure to innovate in the sector?
78
.Do the supporting industries of the poultry sector provide cost-effective inputs. Demand conditions (home market can help companies create a competitive advantage) Have the home market buyers pressurized the poultry firms to innovate faster and to create more advanced products that those of competitors? What role companies like KnN s play in the respect? 3.To get the information about the business/operational environment WITHIN the industry
SECTION-III
1. Firm strategy.) Specialized resources are often specific for an industry and important for its competitiveness. capital and infrastructure resources. structure and rivalry (The way in which companies are created. physical. which participate in the upgrading process?
4.

(Opportunities) do u find some external chances to make greater sales or profits in the environment. (Strengths) can u state some specific characteristics of your particular business that gives you an advantage over others in the industry. 2. (Threats) Can you identify some external elements in the environment that could cause trouble for your poultry farm?
In order to understand the firms position with respect to other players in the market in more detail
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.SWOT ANALYSIS OF THE POULTRY FARM
SWOT analysis is a strategic planning method used to evaluate the Strengths. 1. How do you capitalize on them? 4. and Threats involved in a project or in a business venture. 3. (Weaknesses) what are the characteristics that place your poultry farm at a disadvantage relative to others. Weaknesses. Opportunities.

light Sussex. There are also some local breeds.000 Number of Poultry feed mills is 141 Number of Hatcheries is 285 (as per 2008) Current investment in Poultry Sector is Rs. leghorn.8% Number of Poultry Farms is 28.5 million Chicken Meat Production in Pakistan is 707(µ000) Tones out of Asia s 28691.1(µ000) Tones. which are highly productive and are more adaptive to the local conditions.Key information from secondary research: Poultry Industry in Pakistan
y y y y y y y y y y y y y Growth of poultry sector is 15-20 % per annum Per Capita Consumption is 3.200 Billion Directly or indirectly employed people are 1. Rhodes Island red are also hatched successfully in the country at desired traits. Currently Pakistan is at the 11th Three main types of local chicken breeds o Asil o Afghan game fowl o Buff chicken
Some of the important breeds of the world such as buff rock.1% Share in agriculture GDP is 4.
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. These important poultry breeds of fowls are cross bred with each other to produce.8% Contribution in total meat production is 23.696 Kg Share in GDP is 1.